THE SHANGHAI COMMERCIAL & SAVINGS BANK

The SCSB Sustainable Development Impact Assessment Questionnaire

Dear Sir or Madam, You and your organization are important stakeholders in the SCSB's operational interactions. Please take a moment to assess the impact level of each topic listed below.Thank you for your assistance; your input is a driving force for our company’s continued improvement.

Stakeholder：

Shareholders and Investors

Customers

Government and competent authorities

Employees

Suppliers

Organizations associated with community

Organizations associated with environment

Financial institutions

Media

Impact Issue Analysis: Please rate the level of impact on a scale of 1 to 5, with 1 being the lowest level of impact and 5 being the highest.
Please avoid giving the same score for all positive or negative impacts (e.g., scoring all positives as 5 or scoring all items as 3), as this will be considered an invalid questionnaire.Negative and positive impacts should be evaluated independently, and impact scores must be provided for both!
Plsease assess the level of impact of the following issues on the SCSB's operations and overall governance, as well as on economic, environmental, and human factors (including human rights):

Positive Impact: The positive effects on you or on the economy, environment, and people (including their human rights) if the SCSB executes this issue effectively (including current or potential impacts).

(Example: If an organization takes measures to reduce the cost of renewable energy for customers, this could lead to more customers switching from non-renewable to renewable energy, contributing to climate change mitigation.)

Negative Impact: The negative effects on you or on the economy, environment, and people (including their human rights) if the SCSB fails to execute this issue or does not execute it well (including current or potential impacts).

(Example: To reduce product costs, an organization may choose not to develop or use renewable energy, potentially accelerating climate change. In this case, the organization might inadvertently contribute to negative impacts on the surrounding environment and biodiversity. Alternatively, regulatory requirements could push the organization to transition to more renewable energy sources, increasing its operational costs.)

Classification	Number	Issues	Description	Positive/Negative impact
Economy	1	Corporate governance	This refers to aspects critical to the overall operation and supervision of the company, such as the independence and diversity of the board of directors, board operations, board performance evaluations, internal controls, etc. A robust corporate governance system is a cornerstone for the company’s operations, enhancing information quality and transparency, protecting shareholder interests, and embodying the concept of sustainable business practices.	Positive
	1	Corporate governance		Negative
	2	Ethical management	This includes the arrangement of various integrity management education and training sessions, as well as tests. The management also formulates and oversees the implementation of integrity management policies and prevention plans, reporting regularly to the board of directors. Additionally, it involves whether directors and senior executives sign statements of compliance with integrity practices and actively assist the board in fulfilling its commitment to ethical business operations, ensuring that the company's internal management and business activities adhere to integrity standards.	Positive
	2	Ethical management		Negative
	3	Operating performance	This includes the economic benefits generated and distributed by the organization, its defined welfare plan obligations, financial grants received from any government, and the financial impacts of climate change. While pursuing sustainability, it is crucial to balance business performance and enhance shareholder value.	Positive
	3	Operating performance		Negative
	4	Risk management	Risk can come from various sources, including market uncertainty, legal liabilities, credit risk, accidents, natural causes, and disasters. The goal of a company’s strategy for measuring, assessing, and managing risks is to minimize avoidable risks, costs, and losses.	Positive
	4	Risk management		Negative
	5	Information security	Ensuring that an organization upholds the three principles of information security—confidentiality, integrity, and availability—from top to bottom helps prevent internal or external malicious actors from accessing and leaking the organization’s confidential technology or client data. This prevents additional litigation costs and safeguards customer trust.	Positive
	5	Information security		Negative
	6	Privacy information protection	Strengthening customer privacy protection mechanisms includes establishing departments responsible for maintaining internal information security, conducting cybersecurity audits, and managing security equipment. It also emphasizes the importance of managing the privacy data of suppliers and clients, ensuring that stored data is not exploited with malicious intent and reducing the risk of data loss or system malfunctions that could compromise customer information.	Positive
	6	Privacy information protection		Negative
	7	Compliance	The organization’s overall record of regulatory compliance, as well as adherence to specific laws or regulations, ensures that no illegal or penalized incidents occur. Compliance may involve issues related to accounting and tax fraud, corruption, bribery, competition, provided products and services, or labor issues, such as workplace discrimination. This includes adherence to international declarations, conventions, and clauses, as well as national, subnational, regional, and local regulations.	Positive
	7	Compliance		Negative
	8	Digital finance and service innovation	In response to financial development trends, strategies, programs, measures, and performance for promoting financial technology innovation are implemented to enhance the convenience, immediacy, and user experience of financial services.	Positive
	8	Digital finance and service innovation		Negative
	9	Customer Relationships and Fair Treatment	Establishing effective communication channels with customers and adhering to fair treatment principles, a dedicated department is responsible for protecting consumer rights and planning satisfaction surveys. This is to study solutions that meet customer needs and continuously invest resources to become the best partner for customers.	Positive
	9	Customer Relationships and Fair Treatment		Negative
	10	Tax policy	Implementing strong tax compliance aims to create corporate value and effectively manage tax risks by formulating tax governance policies and transfer pricing policies, establishing a sound tax management system.	Positive
	10	Tax policy		Negative
	11	Sustainable procurement and supplier	A comprehensive supplier management system has been established, including new supplier selection, evaluation, and audit mechanisms. Sustainability concepts are integrated into procurement policies, requiring suppliers to comply with standards such as integrity in business, environmental protection, and labor rights.	Positive
	11	Sustainable procurement and supplier		Negative
Environment	12	Sustainable finance	Promote financial services such as ESG lending and ESG investment, incorporating ESG risks into credit and investment considerations. This enhances the banking sector's sustainable contributions to the environment and society while reducing associated impacts. The goal is for the financial market to guide industries, investors, and consumers in valuing sustainable development, thereby expanding the financial sector’s influence on sustainability.	Positive
	12	Sustainable finance		Negative
	13	Climate strategy and management	Facing the increasingly severe global warming, how companies respond to the operational impacts brought about by climate change will become crucial. This involves not only identifying the risks and opportunities presented by climate change but also how the board of directors and management engage in climate actions and supervision, and formulate appropriate climate change response strategies.	Positive
	13	Climate strategy and management		Negative
	14	Natural Capital and Biodiversity	Natural capital is complex and diverse, encompassing all terrestrial and marine life on Earth, including their species, habitats, ecosystems, genetics, and genes, as well as the consumption of soil, water, air, and minerals. In recent years, natural resources and biodiversity have been rapidly depleting. Financial institutions, as intermediaries of financial flows, play a key role in driving the market toward a nature-positive transformation.	Positive
	14	Natural Capital and Biodiversity		Negative
	15	Green operations	Planning various resource conservation projects, implementing energy-saving and carbon-reduction measures, and acquiring renewable energy are essential. Enhancing energy management mechanisms, calculating internal energy usage, and tracking subsequent energy consumption help implement energy reduction measures and optimize energy use efficiency. Additionally, reducing and recycling household waste can minimize the environmental impact of daily operations.	Positive
	15	Green operations		Negative
People (including their human rights)	16	Social engagement	An organization’s activities and infrastructure can have significant economic, social, cultural, and/or environmental impacts on society. Where possible, organizations should anticipate and avoid negative impacts on local communities and may further invest in social welfare to exert positive social influence, thereby fulfilling their commitment to corporate social responsibility.	Positive
	16	Social engagement		Negative
	17	Financial inclusion	Continuously provide financial products and services that meet public needs and are affordable, while enhancing the accessibility and usability of these offerings. In response to the needs of diverse groups, develop innovative products and promote appropriate services. Leveraging the core functions of the financial industry can foster inclusive economic growth and improve public welfare.	Positive
	17	Financial inclusion		Negative
	18	Talent attraction and retention	Talent is a crucial asset for an organization’s sustainable operation. Activities related to recruitment, employment, and retention, as well as the working conditions and benefits offered, are key factors in attracting talent.	Positive
	18	Talent attraction and retention		Negative
	19	Employee training and career development	The organization’s policies on training and enhancing employee competencies, as well as performance and career development reviews, include support programs to promote continued employability and career management for retirement or contract termination.	Positive
	19	Employee training and career development		Negative
	20	Human Rights and Diversity, Equity, and Inclusion	Human rights are a crucial foundation for creating corporate value. Organizations can conduct human rights reviews or impact assessments of their business activities. Additionally, organizations should respect employee individuality and foster a workplace culture of diversity, equity, and inclusion (DEI), making employees feel that their uniqueness is valued and recognized.	Positive
	20	Human Rights and Diversity, Equity, and Inclusion		Negative
	21	Occupational health and safety	Healthy and safe working conditions are considered a human right, involving the prevention of physical and mental harm and the promotion of worker health. Preventing injuries and promoting worker well-being require organizations to demonstrate a commitment to health and safety, including the development, implementation, and performance evaluation of occupational safety and health policies, management systems, and programs.	Positive
	21	Occupational health and safety		Negative

Other Suggestions & Advice

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